Transition of AML Supervision to the Legal Services Supervisory Authority (LSSA)
The Cayman Islands Legal Practitioners Association (CILPA) wishes to formally announce an important transition within the regulatory framework of the legal profession in the Cayman Islands. As contemplated by the Legal Services Act, the responsibility for Anti-Money Laundering (AML) supervision is now being transferred from the Cayman Attorneys Regulation Authority (CARA) to the newly established Legal Services Supervisory Authority (LSSA).
Acknowledgements
We extend our deepest gratitude to all those who have been instrumental in the journey thus far. The board members of CARA have shown exemplary dedication and leadership in upholding the highest standards of AML compliance. Their commitment has been a cornerstone in maintaining the integrity of our legal services.
We also extend our heartfelt thanks to the employees of CARA, whose diligence and expertise have been invaluable. Their work has ensured that the Cayman Islands remain a jurisdiction of choice, known for its robust regulatory environment.
Our stakeholders have played a critical role in this process, providing insights and support that have been crucial to our success. We are grateful for their continued partnership and collaboration.
Furthermore, we acknowledge the support and guidance from the government of the Cayman Islands. Their foresight and commitment to regulatory excellence have paved the way for this significant transition.
Transition
The Legal Services Counsel (LSC) is the body responsible for AML supervision within the legal sector in the Cayman Islands. The LSC delegated the supervision of AML compliance to the LSSA to streamline the oversight process. The newly formed authority will work closely with the LSC to ensure that the objectives of AML supervision are met.
Among other things, the LSSA will be responsible for:
- Monitoring Compliance: ensuring that legal practitioners adhere to AML regulations and guidelines;
- Enforcement: taking appropriate action against non-compliance to maintain the integrity of the legal profession; and
- Education and Guidance: providing resources and support to legal practitioners to facilitate compliance with AML requirements.
It is anticipated that further announcements will be made in the coming weeks by CARA and the LSSA regarding the transitional logistics including, among other things, the LSSA registration process for law firms.
Conclusion
CILPA is confident that the LSC, in conjunction with the LSSA, will continue to uphold the standards of AML supervision. We look forward to a seamless transition and to the continued cooperation of all parties involved in maintaining the Cayman Islands' reputation as a leading legal jurisdiction.